How To Open A Bank Account For Partnership Firm

In the today’s topic we at myonlineca discuss about How to Open a Bank Account for Partnership Firm. In our previous articles, we have told about what is a partnership, the procedure to open a partnership business. I hope you have a clear understanding of what the partnership firm is.For a quick recap let me tell you that Partnership is business venture where two or more person have agreed to Run and manage Business activities and share profit and bear loss equally among themselves.

Now In This Article, we will primarily talk about the procedure and requirement to open a bank account in any bank in India. The account that is commonly open for any business entity in India is the Current account which is the most liquid type of account, The current account does not have any limit on the number of transactions that can be done in one day and this account is generally opened to provide convenience to the business.

Advantage of Current Account in the Partnership Firm

Adequate for Handling large volumes of receipts or payments regularly, a current account carries out all business transactions swiftly and perfectly.

It facilitates limitless withdrawals in line with the levied cash transaction fees if any.

No strictures are applied on the deposits made into the current accounts opened at the bank’s home branch. Additionally, account holders may also deposit cash at other branches upon paying small fees as applicable.

Cheques, pay-orders, or demand-drafts can be issued using a current account to make direct payments to the creditors.

It enables banks to collect receipts on behalf of customers and credit the same to the customer’s current account.

Trade License in the name of the entity.

Factory Registration Certificate in the name of the entity.

SEBI Registration Certificate in the name of the entity.

The Shops and Establishment Certificate issued by the Municipal Corporations

Registration of firm with Employee Provident Fund Organization and Employee State Insurance Corporation.

Income Tax Returns Filed by the Partners

Copy of Electricity Bill

Copy of Telephone Bill

Conclusion

Procedure to Get a current bank Account is very simple to open current bank account, all you need to do is choose a bank where you wish to apply for the current bank account or you make online application on bank website and fill application form either online or paper form and submit all the documents and after verification your account will be activated and cheque and passbook will be issued to you.The current account can be open in any bank in India, all the banks in India are allowed to open a current bank account.